Unfair dismissal rules should be scrapped

Commenting on today’s leaked discussions about unfair dismissal rules, Mark Littlewood, Director General of the Institute of Economic Affairs, said:

“We need to create a business environment in which companies can take risks and make swift, smart decisions about employment.

“Our present highly restrictive labour laws act as an impediment to this. They discourage businesses from taking on new workers. This is at a time when nearly 1 million young people are out of work.

“Companies go through protracted and complex programmes in order simply to change the balance of their workforce. The employee is often put through a painful and protracted process of oral and written warnings.

“These leaked proposals show the government is starting to take the needs of British business seriously. They should have the courage to implement them.”

Notes to editors

The mission of the Institute of Economic Affairs is to improve understanding of the fundamental institutions of a free society by analysing and expounding the role of markets in solving economic and social problems.

The IEA is a registered educational charity and independent of all political parties.